Why Work Friendships Are the Untapped Superpower of Employer Branding

KPMG’s recent survey finds work friendships are central to engagement, wellbeing and performance - and that most employers are failing to nurture them.

By Mike Parsons 8 min read
Two colleagues laughing over coffee and laptops in a bright workspace - capturing genuine friendship and connection at work.
Work friendships don’t show up on org charts - but they might just be your strongest culture metric.

For all the hype about hybrid models, wellness apps and even deeper things like meaningful work, the thing employees often value most at work might be the oldest and simplest... friendship. 

KPMG’s Friends at Work Survey shows just how much the idea of having mates at the office – or even on Zoom – matters. Four out of five professionals say workplace friendships are important, and most go further, linking them directly to their engagement, satisfaction and performance. Nearly seven in ten believe close work friends make them better at their jobs. Stats that should get any discerning CHRO listening.  

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Productivity and output, as important as they are, aren’t even the whole story. Seventy-eight per cent of those surveyed said friendships are vital for mental health, whether it is having someone to listen during a rough patch, or just adding a bit of joy to the day. Yet a quarter of professionals still report feeling isolated at work, with women more likely than men to experience loneliness. 

“Those workplace rants among colleagues – are they toxic or a much needed form of catharsis”? 

The limits of digital culture 

Most employers have doubled down on digital tools to hold teams together. But the survey makes clear that software cannot do the heavy lifting of friendship. Almost six in ten employees believe technology has created an over reliance on digital channels and diluted down the human interactions that build real trust. Remote workers in particular struggle to make friendships stick. A third admit it feels near impossible

If culture is reduced to a steady diet of Slack updates and Zoom calls, then loneliness and isolation become the byproduct. Companies may think they have built a hybrid culture when, oftentimes, what they've built is distance.

Work Friendships by the Numbers: KPMG Survey

Friendship is not a perk, it is infrastructure. The data below shows how close colleagues drive engagement, satisfaction, and mental health, and why overreliance on digital tools and the cost of socialising are getting in the way. Use it as your quick brief for what to design, fund, and measure next.

Theme Metric % (overall) Notes / Commentary
Importance Say work friends are highly important 81% Culture isn’t a poster; it’s people. Treat friendship as a design principle, not a happy accident. (KPMG)
Baseline Have at least one work friend 79% A majority have at least one friend—so the bar isn’t “introduce friends,” it’s “help more friendships thrive.” (KPMG)
Mental health Say friendships provide positive mental-health benefits 78% Wellbeing budgets are nice; trusted colleagues are better ROI. (KPMG)
Engagement Feel friendships help them feel engaged 83% Engagement software measures the score; friendships move the score. (KPMG)
Satisfaction Feel more satisfied on the job 81% Job satisfaction rises when work includes someone worth staying for. (KPMG)
Connection Feel more connected to their workplace 80% Belonging is local: built in small circles before it scales to culture. (KPMG)
Mental-health driver Close friendships have the greatest positive impact 43% Biggest lift overall; effect is strongest for entry-level (63%) and tapers at senior levels—train managers to enable, not replace, peer support. (KPMG)
Support: empathy Friends act as a sounding board in tough times 48% The original EAP: empathy, available on demand. (KPMG)
Support: resiliency Greater resiliency 42% Resilience is social, not solo. Build pairs and crews. (KPMG)
Support: belonging Stronger sense of personal connection/belonging 41% “We” beats “me” in retention math. (KPMG)
Loneliness Feel isolated/lonely at least sometimes ~25% A quarter feel alone; without friends it spikes to 69%, and 53% if they think friends “aren’t important.” Target these cohorts. (KPMG)
Barrier: tech overuse Over-reliance on digital channels is a major barrier 58% Slack ≠ friendship. Engineer more face-to-face micro-moments. (KPMG)
Barrier: fewer collisions Fewer “water-cooler” interactions 28% Redesign layouts and rituals for serendipity. (KPMG)
Barrier: optics Concerns about favoritism 26% Set guardrails so “mateship” doesn’t look like bias. (KPMG)
Cost barrier Finances/economy limit socializing outside work 54% Underwrite low-cost, inclusive options; impact is highest for Hispanic (68%) and women (61%). (KPMG)
Employer role Companies should facilitate interactions 84% Don’t mandate friendship—make it easy and safe to form. (KPMG)
Retention signal Company’s approach matters when deciding to stay 83% Friendship design is a retention strategy, not a perk. (KPMG)
Attraction signal Matters when considering a new job 81% Candidates screen for connection as much as comp. (KPMG)
Employer belief Company believes friendships boost happiness/satisfaction 82% Leaders “get it”—now budget for it. (KPMG)
Employer belief Company believes friendships boost productivity 81% Productivity follows proximity (socially, not just physically). (KPMG)
How to build Regular catch-ups (work + non-work) 45% Codify “small talk” as a big practice. (KPMG)
How to build Personalize communication 39% One-size-fits-none. Nudge managers to tailor touchpoints. (KPMG)
How to build Non-work events/activities 38% Friday drinks won’t include everyone; vary formats and times. (KPMG)
How to build Support colleagues’ personal goals 34% Celebrate progress outside the job—community forms fast. (KPMG)
How to build Celebrate occasions 31% Rituals glue teams together—make them inclusive. (KPMG)
Least effective “Go to the office more often” 16% Presence without connection doesn’t fix the problem. (KPMG)
Meeting mode Met a workplace friend virtually (entry-level) 19% Virtual is the rarest origin story—design hybrid intros intentionally. (KPMG)

Source: KPMG, Workplace Friendships Play a Critical Role in Employee Mental Health, Job Satisfaction (press release, Nov 19, 2024). KPMG

Money, time and the social squeeze 

Another quiet barrier is money. More than half of respondents said personal finances or the wider economy limit their ability to socialise with colleagues outside work. That means employers cannot simply leave friendship to Friday drinks. If people are counting the cost of a drink or a meal, then organised, inclusive and low-cost events become even more important for building the underlying social glue of the organisation.  

“Culture does not just happen. It often needs underwriting and careful cultivation”. 
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What employees actually want 

When asked how employers should help, the answers were refreshingly straightforward. Social activities and employee resource groups top the list, followed by office layouts that encourage casual encounters. The bottomline is simple; employees expect their organisations to create the conditions where friendships can form. 

The problem is the gap between rhetoric and reality. Most professionals believe their company talks up the value of friendships and caring. However, far fewer believe leaders do much about it. The other issue is inclusivity. Those afterwork drinks can be a wonderful and highly social release for some, and a total nightmare for others. If the idea is to include everybody every time, it’s not an easy task.  

Having, myself, managed teams in Singapore, Dubai, and the United Kingdom, I can attest to how tricky it can be to get this right. Some drinks in a local pub after work may feel like a no-brainer after a long office day in London, but isn't that way in Singapore. As for Dubai, no pubs and different attitudes towards drinking rule this out completely. So what then?

Leadership and loneliness 

For employees without close work friends, managers take on an outsized role. A third of respondents said their group leader has the biggest impact on their happiness at work. Yet many managers are seen as purely functional – good at coaching and teaching, less good at showing genuine care. 

For employer branding, this is a blind spot. Values on a careers page mean little if everyday interactions feel transactional and contradict what was sold. Friendship, or at least the possibility of it, is what makes culture credible. If nobody in your workplace were friends, how do you think you'd describe the culture if asked?

And it works both ways. As they say... it’s lonely at the top. Being a manager and knowing where to draw the line between what’s seen as professionalism and when friendships get more ‘real’, is tightrope walking act. This is an area where I feel middle and upper management levels need to have a more open dialogue. Supporting managers, at least with training and guidance, could give them the skills and guardrails they need to get this right more often.

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The EBN Dispatch is your no-fluff podcast on employer branding, talent attraction, retention, and company culture served with dry wit and sharper-than-average insight.

Why this matters for employer brand leaders 

Three lessons stand out. First, employers should stop treating “culture” as a mood board. Instead, connection in the workplace should remain central and leaders should ask the blunt question: do employees actually have friends here? Second, design for friendship. That means investing in social spaces, shared experiences and employee groups that cut across teams. Third, give managers permission to be human. Training and incentives should focus as much on empathy as they do on efficiency. 

Employer branding is ultimately about proof. You can say you care about belonging, but the true test is whether employees can point to someone in the office who would notice if they were gone. 

Feelings of belonging don't come from tasks, they come from the people you do those tasks alongside.

In the end, the most powerful benefit you can offer is not unlimited annual leave or a perk-filled app. It is the reassurance that, when the day turns sour, as they inevitably will from time to time, there is someone at work who will sit down, listen, and maybe even buy the next coffee. 

SPONSORED by Fathom
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Momentum isn’t always progress, especially when you always end up back where you started.

Fathom helps you escape the loop. With insight, not intuition.

Break the Loop

Takeaways

Friendship is culture 

Workplace friendships aren’t soft perks. They are the foundation of belonging, performance and retention. 

Digital has limits 

Workplace tech like Slack and Zoom keep work moving, but they don’t build trust. Real culture needs real encounters. 

Money is a barrier 

When the cost of a pint feels heavy, employers must step in with inclusive, low-cost ways to connect. 

Leaders matter most 

For employees without close friends, managers are the anchor. Training leaders in empathy is a brand investment. 

Employer branding proof 

EVPs often promise belonging. Friendships are how employees test whether the story holds up in real life. 


The EBN Dispatch Podcast | Employer Branding & Talent
The EBN Dispatch is your no-fluff podcast on employer branding, talent attraction, retention, and company culture served with dry wit and sharper-than-average insight.